Addendum To Employment Contracts

When an employer wishes to make any amendments to an employment contract, it is common practice for the employer to use and prepare an Addendum to Employment Contract. As a supplemental document, the Addendum adds information to the existing and original contract of the employee, allowing the employer to modify any of the conditions stipulated in the contract, or add specific terms which the Parties would have agreed to. In this way, the original contract can be edited to include these new terms and replace the old terms, without the employer having to prepare an entirely new employment agreement.

Some examples of when an Addendum to Employment Contract is normally utilised are in the cases of increases in the employee's salary, or due to modifications made to any applicable legislation which would require the employment contract to be amended to reflect this modification.